The Low Income Home Energy Assistance Program (LIHEAP) is a United States federal social services program first established in 1981 and funded annually through Congressional appropriations. The mission of LIHEAP is to assist low income households, particularly those with the lowest incomes that pay a high proportion of household income for home energy, primarily in meeting their immediate home energy needs. The program, part of the United States Department of Health and Human Services (HHS), is funded by grants appropriated from the federal government.
Funding is distributed to each of the fifty states, U.S. territories and tribal governments through the United States Department of Health and Human Services (HHS). Administration of the program is left up to state, territorial or tribal governments. Congress also provides the President of the United States with limited contingency funds each year, which are reserved for emergency situations and released at the President's discretion.
State legislatures often provide additional appropriations each year to supplement federal LIHEAP funds.
LIHEAP offers one-time financial assistance to qualifying low-income households who require support in paying their home heating or cooling bills. Applicants must have an income less than 150% of federal poverty level or 60% of state median poverty level to be eligible, however some states have expanded their programs to include more households (for example, in Massachusetts, applicants must be within 60% of the estimated State Median Income).
The Low Income Home Energy Assistance Program (LIHEAP) provides funding assistance to low-income households, targeting those who are truly vulnerable: the disabled, elderly, and families with preschool-age children. Funding is distributed to states or other governmental entities, who administer the program and stems from four sources including: Block grants, the Residential Energy Assistance Challenge Program, Contingency Funds, and Leveraging Incentive Programs. Allocations are based on local climate, economic, and demographic formulas. Additional funds may be available in emergency situations or as match funds when contributions are provided by local governments, private businesses, or non-profit organizations. Final distribution of funds is conducted through the program grantees, which are able to design their programs to meet consumer needs while adhering to the goals and policies of LIHEAP.